We're Bridging The Gap Between Climate & Finance: Wendy Cromwell

Wellington Management, a major asset manager, focuses on climate risks to guide investment decisions. Partnering with Woodwell Climate Research Center, they assess physical climate risks like heat and floods. As a founding member of the Net Zero Asset Managers Initiative, they aim for net zero emissions by 2050. Instead of divesting, they engage with companies to set science-based targets. They use climate science to identify risks and opportunities, investing in technologies and solutions to adapt to climate changes.

What is one of the primary focuses of Wellington Management in their investment strategy?

• Assessing and mapping climate risks

• Maximizing short-term profits

• Avoiding all high-risk investments

• Investing solely in technology companies

Which organization has Wellington partnered with to integrate climate science into their investment decisions?

• Greenpeace

• United Nations

• Woodwell Climate Research Center

• World Wildlife Fund

What is the goal of the Net Zero Asset Managers Initiative?

• To double the assets under management by 2050

• To focus solely on renewable energy investments

• To manage assets in line with a 2050 net zero emissions target

• To eliminate all fossil fuel investments by 2030

Why does Wellington Management prefer working with companies to set science-based targets rather than divesting?

• They want to avoid all risks

• To help companies transition to lower carbon emissions

• Divesting is more profitable

• They have no other investment options

What is a potential consequence of divesting from companies with high emissions?

• The companies will immediately reduce emissions

• The companies will cease to exist

• The companies' cost of capital may increase

• The companies will become more profitable

What does Wellington Management believe is necessary to address physical climate risks?

• Increased government intervention

• Development of new technologies and solutions

• Immediate cessation of all industrial activities

• Complete reliance on renewable energy

How does Wellington Management identify potential in companies regarding climate risks?

• By investing in all available companies

• Through climate risk analysis and mapping

• By focusing only on financial performance

• By avoiding all high-risk areas